Polaroid Earnings Drop 19 Percent
CAMBRIDGE, Mass. (AP) _ Polaroid Corp. on Tuesday reported a 19 percent drop in third-quarter profits, citing declining U.S. sales and costs associated with setting up its own distribution system in Japan.
The company earned $23.7 million, or 51 cents per share, in the three months ended Sept. 30, compared with $29.3 million, or 62 cents per share, during the same period a year earlier.
Sales rose to $580 million from $576.7 million, boosted by an 11 percent increase in international sales, mostly in China and Russia. Domestic sales dropped 9 percent.
Polaroid said retail film sales in the United States decreased this quarter with the company planning most of its promotional spending in the fourth quarter to coincide with the holiday season.
In July, the company switched from third-party distribution in Japan to direct distribution.
For the first nine months, Polaroid lost $29.2 million, or 64 cents per share, compared with a profit of $59.9 million, or $1.27 per share, during the same period last year.
Sales fell 4 percent to $1.56 billion from $1.63 billion.